Trump exempts oil imports from his sweeping tariffs

The White House announced on Wednesday that imports of refined products, oil and gas were exempted by President Donald Trump from his new sweeping tariffs.

The exemption is a welcome relief for the U.S. Oil Industry, which was concerned that new taxes could disrupt flow and increase costs of everything from Canadian crude oil to Midwest refineries and European cargoes to the Eastern Seaboard.

Trump announced on Wednesday that he will impose a baseline 10% tariff on all imports into the United States, and higher duties on the country's largest trading partners. This is a continuation of the trade war he started upon his return to office.

A White House official confirmed that the trade protections do not apply to imports of energy from Canada and Mexico, which are exempted by the United States-Mexico-Canada Agreement. They also do not apply to imports of energy from any other countries.

Canada and Mexico are two of the largest importers of crude oil into the United States. Europe, on the other hand, is an important source of fuel for the U.S. East Coast which lacks oil refineries. (Reporting and writing by Jarrett Renshaw, Editing by Nia William)

(source: Reuters)